India-based HCL Technologies, a leading global IT services company, announced today that it has acquired Minneapolis-based PowerObjects, a leading Microsoft Dynamics CRM provider. HCL Technologies will pay PowerObjects $46 million, which also include contingent payment subject to certain financial milestones.
The deal, which closed Wednesday and was revealed Thursday, will provide HCL Technologies with more services, support, capability, education, expertise and add-ons around exponentially growing Dynamics platform. The deal will also allow HCL to take advantage of the rapidly-growing global CRM industry, with Microsoft Dynamics as one of the fastest growing CRM products in the market. Research firm Gartner has predicted that CRM will be a $36 billion worldwide market by 2017 and will grow faster than any other enterprise software category in the market.
Greg Palesano, HCL’s executive vice president and global head of application services, praised PowerObjects for its add-on offerings. PowerObjects has developed several Dynamcs CRM add-ons including productivity and marketing tools like PowerGlobal Search, PowerMailChimp, PowerSurvey, PowerWebTraffic, PowerWebForm and PowerOneView.
Headquartered in Noida, Uttar Pradesh in India, HCL Technologies Ltd. is a leading global IT services company. It offers IT services including IT consulting, enterprise transformation, remote infrastructure management, business process outsourcing, engineering and R&D. The company operates in 31 countries and has consolidated revenues of $6.1 billion, as of September 2015. HCL Technologies operates across a number of industry verticals, which include aerospace, automotive, consumer electronics, energy utilities, financial services, government, software development, manufacturing, life sciences, healthcare, media, mining, oil and gas, public services, retail, semiconductor, server and storage, telecom, transportation and logistics.
The deal is HCL’s first application-related acquisition in the past couple of years. PowerObjects will retain its own brand and operate as standalone unit within HCL Technologies. PowerObjects is primarily focused in the North America region, with little presence in European market, HCL hopes that the deal will expand PowerObjects’ presence in Europe and Asia-Pacific region.
Dean Jones, PowerObjects CEO, said in a statement: “As clients attempt to grow their revenue by improving their CRM processes and technologies, we believe that blending our teams and areas of expertise will result in increasingly transformational products and services.”
Founded in 1993 and based in Minneapolis, PowerObjects is a professional services that focused on providing service, support, education and adds-on for Microsoft Dynamics CRM products. The company has won Microsoft’s Partner of the Year award for three times in the last four years, and is one of Microsoft’s leading Dynamics CRM partner. PowerObjects is also a multi-year winner of Microsoft’s CRM Worldwide Partner of the Year award and a winner of this year’s Cloud CRM Partner of the Year award.